Abu Dhabi Future Energy Company PJSC - Masdar, and Hy24, the world’s largest clean hydrogen (H2) pure-play investor, have signed a joint development and investment framework deal at COP28 to explore large-scale green H2 projects.

Masdar and Hy24 agreed on a framework to invest in projects along the Power-to-X value chain, which involves producing renewable power converted via electrolysers into green hydrogen and, subsequently, its derivatives such as green ammonia, e-methanol, sustainable aviation fuel and liquid H2. The companies will focus on projects located in key regional hubs across Europe, the Americas, Asia Pacific and the Middle East and North Africa (Mena).

The Hy24-managed ‘Clean Hydrogen Infrastructure Fund’ expects that co-investment and co-development opportunities will be made available to Masdar, which could represent up to €2 billion ($2.19 billion) of investments in the next five years. Green H2 will play a key role in enabling faster and more widespread global adoption of renewable energy, helping the planet to meet net-zero goals.

Role as catalyst

The agreement reinforces Hy24's role as a catalyst in fostering the hydrogen economy and will leverage Masdar’s 20GW of renewable energy projects worldwide, enabling the two leaders to target exploration of larger transactions and project developments across broader geographies at scale and pace. The agreement will also open new investment opportunities for Hy24 in the Middle East and North Africa and benefit from Ardian’s long-standing partnerships established in the region under the leadership of François-Aïssa Touazi (Chairman Ardian Ltd, Abu Dhabi). Hy24 is a joint venture between Ardian, Europe’s largest private investment house, and FiveT Hydrogen, a clean hydrogen investment platform.

Mohamed Jameel Al Ramahi, CEO of Masdar, said: “At COP28, we have seen the critical need for global stakeholders to unite, act and deliver. Masdar’s collaboration with Hy24, the world’s largest clean hydrogen pure-play investor, will see us leverage our shared expertise and resources.

“Throughout our 17-year history, Masdar has deployed a ‘first mover’ approach to the clean energy transition worldwide. Now, Masdar and Hy24 will work together to maximise green hydrogen’s huge potential to accelerate the energy transition for a cleaner, greener future.”

Promising tool

Pierre-Etienne Franc, Co-founder and CEO of Hy24, said: “Hydrogen is unanimously recognised as one of the most promising tools for the energy transition, a view that has been reinforced at COP28. Our joint agreement aims to unlock investments for some of the largest and most strategic green hydrogen projects in the world. It also demonstrates the strong potential for both France and the UAE to develop large-scale decarbonisation projects together within this industry vertical. We need to see more capital allocated by institutional investors and sovereign wealth funds to climate action. Masdar is paving the way.”

Established in 2006, Masdar has invested, or committed to invest, in worldwide projects with a combined value of more than $30 billion with ambitious growth plans to reach 100GW and 1 million tonnes of green H2 by 2030.--TradeArabia News Service

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